RBI Monetary Policy Committee Meeting: Key Updates and Expectations for August 2024
Will the RBI surprise markets or keep the repo rate steady at 6.5%? Find out on August 8, 2024, at 10 AM.
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The Reserve Bank of India (RBI) is presumed to keep the current benchmark interest rate steady during its forthcoming Monetary Policy Committee (MPC) meeting. This meeting, led by Governor Shaktikanta Das, is set to commence on August 6, with the interest rate decision to be revealed on August 8. Since the repo rate was raised to 6.5% in February 2023, it has not changed in the following eight bi-monthly meetings. If the RBI opts to maintain the rates, it will be the ninth consecutive time the benchmark rate remains the same.
RBI MPC date, time
MPC’s decision will be announced by Governor Shaktikanta Das on August 8 around 10 AM.
Where to watch updates on the RBI MPC announcements
- RBI Official Website: For press releases, policy statements, and meeting minutes.
- Social Media: Follow RBI’s official Twitter and LinkedIn pages for important updates.
- Ministry of Finance: Provides links to RBI MPC announcements.
The RBI is tasked with making interest rate decisions in light of persistent inflation concerns, especially regarding food prices. Retail inflation rose to 5.08% year-on-year in June, up from a 12-month low of 4.75% in May, largely due to increasing food prices, which constitute nearly 40% of the consumer price basket. Since March, CPI-based inflation has remained below 5% and under 6% since September, staying within the RBI's 2-6% tolerance range for the last ten months.
In June 2024, the six-member Monetary Policy Committee (MPC), chaired by the RBI Governor, voted 4-2 to keep the benchmark repo rate at 6.5% for the eighth consecutive time. The committee also decided to maintain its stance of ‘withdrawal of accommodation’. Additionally, the RBI has adjusted its GDP growth forecast for FY25 to 7.2%, an increase from the previous estimate of 7%. The inflation forecast for FY25 remains steady at 4.5%.
Upcoming RBI MPC meetings
The upcoming RBI MPC meetings are scheduled October 7-9, December 4-6, and February 5-7, 2025.
